David?

David Sach

Thank you, Adrian. Please turn to Slide 6. In aggregate, our markets experienced growth in real GDP of 2% during 2011, with increases in all countries. This growth was largely driven by export demand. Consumer confidence in our markets was impacted by concerns about the European sovereign debt situation. And as a result, real private consumption continued to lay GDP growth for much of the year, but has now turned positive. Despite aggregate television advertising spending fluctuating from down 3% to up 2% on a quarterly basis during 2011, spending ended flat for the full year in line with private consumption.

Moving to Slide 7. Our consolidated net revenues increased by 17% to $865 million for the full year, equivalent to an increase of 10% in constant currencies. All 3 segments contributed to this increase. Costs increased by 5% in constant currency terms, but this included the full year impact that the acquisition of bTV in Bulgaria, the acquisition of Bontonfilm and investments in new channels in Croatia and Slovenia. Excluding the impact of these acquisitions and investments, a total like-for-like cost decreased 1%. Central costs were 6% lower. Consolidated OIBDA increased by 56% to $167 million or 40% in constant currencies, with our OIBDA margin increasing from 15% to 19%.

Due to the impact of the current economic environment, we recorded an impairment charge of $69 million in respect to the Bulgarian broadcast reporting unit and the Media Pro Entertainment production services reporting unit following our annual impairment review.

Adrian will now present the full year highlights for our broadcast division.

Adrian Sarbu

I invite you to turn to Slide 8 of our presentation, highlighting the achievements of the broadcast division. In 2011, we strengthened our overall primetime audience leadership with lower costs. The drivers of this audience increase were Slovakia and Croatia. Our competitive advantage, built over many years, enables us to generate the majority of the advertising inventory in each country, with more than 60% in the Czech Republic, Slovakia, Bulgaria and Slovenia. We also strengthened our overall market share leadership with increases in Slovakia, Bulgaria, Croatia and Slovenia of between 1 and 7 percentage points. Following our expansion to pay windows, we increased subscription revenues in Slovenia, Romania, Bulgaria and Czech Republic.

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